Latest news with #HouseEducationandtheWorkforceCommittee
Forbes
05-05-2025
- Business
- Forbes
Republican Education Reform Bill: Reshaping Higher Education's Future
Loan or savings for college. Graduation cap and roll of dollars. A seismic shift in federal higher education policy is on the horizon. The Republican-led House Education Committee has unveiled what many analysts call the most sweeping changes to student financial aid in decades. This ambitious overhaul introduces significant reforms affecting everything from loan caps to institutional accountability, with profound implications for students, families, colleges, and taxpayers. The bill's architects frame these reforms as necessary corrections to a broken system that has fueled both skyrocketing tuition costs and unsustainable student debt. Critics counter that many proposals threaten to pull the educational ladder up behind those who have already climbed it. Several key provisions that would dramatically restructure how Americans pay for college are at the heart of the legislation. Let's examine each major component and what it would mean for different stakeholders across the educational landscape. Perhaps the most consequential change would cap annual federal financial aid at the previous year's national median cost of attendance for specific programs. Preston Cooper, notes in Forbes that 'Study after study has shown that colleges exploit these unlimited loans to hike tuition,' suggesting this measure could finally create downward pressure on tuition. The bill would also establish lifetime borrowing limits: 50,000 for undergraduates, $100,000 for graduate programs, and $150,000 for professional degrees such as medicine and law. The House Education and the Workforce Committee states that these caps would curb excessive debt burdens. However, the American Council on Education has pushed back firmly, arguing that "limiting the availability of federal aid to the median cost of specific programs" is among several "harmful proposals" that would "reduce student aid to low-income students and would impose onerous financial penalties on institutions, particularly those least able to meet them." The organization warns this approach fails to account for regional cost variations and could disproportionately impact institutions in high-cost areas. The legislation targets several established loan programs. Grad PLUS loans and unsubsidized loans for undergraduates would be eliminated entirely. Parent PLUS loans would remain but with a new $50,000 aggregate limit. Federal student loans for part-time students would be prorated based on credit hours. These changes would substantially simplify the federal loan system and reduce government spending. The House Education Committee argues these reforms would streamline "complicated, confusing student loan programs." But simplification comes at a cost. Higher education experts have warned that "the death of Grad PLUS alone might threaten to close some colleges," according to reports from Inside Higher Ed. Graduate students would face significantly reduced borrowing options, while undergraduates would lose necessary interest subsidies during their studies. While the bill assumes market forces will drive down costs, but in the short term, it will almost certainly reduce access for those with limited family resources. The legislation would dramatically simplify repayment options, reducing them to just two plans: one with fixed monthly payments over 10-25 years and another setting payments between 1-10% of borrowers' income. While simplification could reduce confusion for borrowers navigating the current maze of repayment options, the National Association of Student Financial Aid Administrators (NASFAA) has expressed concern that the proposed income-driven repayment plans would be less generous than current options. The American Council on Education warns these changes would establish less favorable loan repayment options, leading to students paying more, borrowing more, and facing costlier repayment terms. The Pell Grant program, the cornerstone of need-based federal aid, would undergo significant changes. Students would need to work at least 15 semester hours per year to qualify, a requirement that could exclude many part-time students who are juggling work, family, or other obligations. On the positive side, eligibility would expand to students in "short-term, high-quality, workforce-aligned programs," potentially helping non-traditional students quickly gain marketable skills. The bill also allocates $10.5 billion to address the current Pell shortfall, ensuring the program's near-term stability. Perhaps the most controversial element of the legislation is its approach to institutional accountability. Schools would be required to reimburse the government for a percentage of unpaid student loans disbursed after 2027, with the percentage based on price, graduates' earnings, and completion rates. Rep. Suzanne Bonamici (D-OR) called the proposal "shortsighted," arguing it creates this perverse incentive for schools to shut down programs that prepare students for in-demand but underpaid careers like teaching or social work or public service fields and would create an incentive for schools to enroll wealthier students who are more likely to repay their loans at higher rates. The American Council on Education's analysis found that 98 percent of institutions would have a risk-sharing payment" and 75 percent of institutions would have an overall net loss, which would penalize institutions serving the largest numbers of those students who struggle most in the labor market: low income, first generation, and underrepresented student populations." The legislation would eliminate several Obama and Biden-era regulations, including the 90/10 rule requiring for-profit colleges to obtain at least 10% of revenue from non-federal sources and the gainful employment rule holding programs accountable for graduates' debt-to-income ratios. The bill would repeal the Biden administration's version of the borrower defense to repayment regulations, which makes it easier for students defrauded by their colleges to get debt relief. The Senate Republican proposal, while sharing many elements with the House version, takes a more moderate approach in several areas. According to Forbes, the Senate version maintains subsidized loan availability for undergraduates and offers different repayment structures. As this legislation moves through Congress, fundamental questions emerge about its impact on American higher education. While specific proposals address legitimate concerns about college affordability and student debt, others threaten to reduce access for disadvantaged students and create new challenges for institutions serving vulnerable populations. In a letter to Rep. Wahlberg, chair of the Education and Workforce Committee, Ted Mitchell, President of the American Council on Education, wrote on behalf of 6 other educational associations, that 'The overwhelming majority of provisions in the bill would reduce student aid to low-income students and would impose onerous financial penalties on institutions, particularly those least able to meet them.' Whether this, or Preston Cooper's view that 'If passed, the result of this policy mix will be a saner and more sustainable student loan system,' will be borne out as the final bill is enacted and the changes take place. As the debate unfolds, one certainty emerges: American higher education is on the cusp of its most significant policy transformation in decades. Whether that transformation expands opportunity or contracts it will shape economic mobility, workforce development, and social equity for years to come.
Yahoo
10-04-2025
- Politics
- Yahoo
House Education Committee drops records request against Northwestern law clinics after suit
The GOP-controlled House Education and the Workforce Committee withdrew a request for records on Northwestern University's law clinics after its leaders filed a lawsuit Wednesday. 'The committee is not seeking these documents anymore. Period,' House general counsel Matthew Berry said at a court hearing Thursday. Sheila Bedi, director of the university's Community Justice and Civil Rights Clinic, and Lynn Cohn, co-director of Northwestern's Center on Negotiation, Mediation and Restorative Justice, filed the suit against the university and the congressional committee Wednesday afternoon. The March 27 letter raised concerns about representing anti-Israel protesters, among others. The lawsuit challenged the request for information on the clinic's budget and clients, arguing it was unconstitutional. The suit also came after the Trump administration paused $790 million of federal funding to Northwestern. U.S. District Judge Andrea Wood hastily scheduled the Thursday morning hearing to decide whether to block the noon EDT deadline for the school to comply with the committee's demands. But with the new development, Wood found the professors' request for a temporary restraining order immediately blocking the deadline was effectively moot. 'It seems to me that the emergent nature of the issues raised by the motion are no more,' the judge said. Wood is an appointee of former President Obama who was assigned to oversee the motion because she was on emergency duty Thursday. A different judge is set to handle the case moving forward. At the hearing, Berry stressed that the committee was no longer seeking the documents. 'I want to be absolutely clear that the formal request has been withdrawn,' Berry said. 'This is not a cover for and there is not going to be any informal, behind-the-scenes request for the same documents.' 'The Letter reflects a bare desire to harm Plaintiffs for their association with 'left-wing' causes that the Committee does not like and for the protected speech reflected in their 'progressive,' 'left' advocacy,' the lawsuit said. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
The Hill
10-04-2025
- Politics
- The Hill
House Education Committee drops records request against Northwestern law clinics after suit
The GOP-controlled House Education and the Workforce Committee withdrew a request for records on Northwestern University's law clinics after its leaders filed a lawsuit Wednesday. 'The committee is not seeking these documents anymore. Period,' House General Counsel Mathew Berry said at a court hearing Thursday. Sheila Bedi, director of the university's Community Justice and Civil Rights Clinic, and Lynn Cohn, co-director of Northwestern's Center on Negotiation, Mediation and Restorative Justice, filed the suit against the university and the congressional committee Wednesday afternoon. The March 27 letter raised concerns about representing anti-Israel protestors, among others. The lawsuit challenged the request for information on the clinic's budget and clients, arguing it was unconstitutional. The suit also came after the Trump administration paused $790 million of federal funding to Northwestern. U.S. District Judge Andrea Wood hastily scheduled the Thursday morning hearing to decide whether to block the noon EDT deadline for the school to comply with the committee's demands. But with the new development, Wood found the professors' request for a temporary restraining order immediately blocking the deadline was effectively moot. 'It seems to me that the emergent nature of the issues raised by the motion are no more,' the judge said. Wood is an appointee of former President Obama who was assigned to oversee the motion because she was on emergency duty Thursday. A different judge is set to handle the case moving forward. At the hearing, Berry stressed that the committee was no longer seeking the documents. 'I want to be absolutely clear that the formal request has been withdrawn,' Berry said. 'This is not a cover for and there is not going to be any informal, behind-the-scenes request for the same documents.' 'The Letter reflects a bare desire to harm Plaintiffs for their association with 'left-wing' causes that the Committee does not like and for the protected speech reflected in their 'progressive,' 'left' advocacy,' the lawsuit said.
The Hill
09-04-2025
- Politics
- The Hill
Heads of Northwestern legal clinics sue House committee over records demand
The leaders of two Northwestern University law clinics are suing the House Education and the Workforce Committee and their own university to prevent the turning over of records the panel requested of the school. Last month, the GOP-controlled committee sent a letter requesting details of the budgets and guidance at the university's legal clinics, accusing the centers of funding 'left-wing advocacy' and chastising pro-Palestinian clients the centers have. 'The Committee has demanded that Northwestern University's Pritzker School of Law and its Bluhm Legal Clinic produce information about how they teach their students, represent their clients, and fund their work. The effort is part of the federal government's ongoing attack on academic freedom, legal professionals, and the rule of law,' the Wednesday lawsuit reads. The lawsuit was filed by Sheila Bedi, director of the university's Community Justice and Civil Rights Clinic, and Lynn Cohn, co-director of Northwestern's Center on Negotiation, Mediation and Restorative Justice. The House Education Committee had given the university until Thursday to comply with the records request. 'The Letter reflects a bare desire to harm Plaintiffs for their association with 'left-wing' causes that the Committee does not like and for the protected speech reflected in their 'progressive,' 'left' advocacy,' the lawsuit said. The lawsuit wants a judge to declare the committee letter unconstitutional and enjoin the university from producing any documents. The Hill has reached out to the committee for comment.
Yahoo
01-04-2025
- Politics
- Yahoo
Trump administration pulls nearly $42 million in federal funding from Michigan schools
Secretary of Education Linda McMahon testifies during her confirmation hearing on February 13, 2025 in Washington, DC. (Photo by) On Friday, March 28, President Donald Trump's Education Secretary Linda McMahon sent letters to the head education official in each state saying that their schools no longer had one more year to spend COVID relief funds, but that the deadline had been changed to that very same Friday. As a result, Michigan's Department of Education is reporting schools around the state will lose nearly $42 million of funding. Pre-approved projects in 27 Michigan school districts for federal reimbursement were intended to improve air quality and safety in schools following the COVID-19 pandemic, State Superintendent Dr. Michael F. Rice said in a statement Monday. 'Walking back a federal commitment to pandemic relief funds to improve the air quality, healthfulness, and safety of schools coming out of the pandemic is unacceptable,' Rice said. The Department of Education under former President Joe Biden had approved extensions to the project reimbursement deadline to March 28, 2026, but with the sudden revocation, Rice said schools locked into contracts will have to cut other facets of education to foot the bill. 'A change in administrations should not void previous commitments,' Rice said. 'Without the promised March 2026 date for federal reimbursement requests, districts may be forced to reduce instructional expenditures for students, diminish savings, or both to honor these contracts.' Rice requested that Secretary McMahon reconsider her decision to cut off funding and implored Michigan's congressional delegation, including U.S. Rep. Tim Walberg (R-Tipton) who chairs the House Education and the Workforce Committee, to act. The previous administration's extension 'was not justified', McMahon's letter on Friday said, adding that state education leaders had 'ample' time to receive reimbursement. McMahon added that it was an act of 'grace' that the department had granted extensions for federal reimbursement and prior approval for projects does not override an agency's autonomy to reconsider decisions. However, states can request extensions on individual projects, McMahon wrote, which would leave it at the department's discretion to determine necessity. 'By failing to meet the clear deadline in the regulation, you ran the risk that the Department would deny your extension request. Extending deadlines for COVID-related grants, which are in fact taxpayer funds, years after the COVID pandemic ended is not consistent with the Department's priorities and thus not a worthwhile exercise of its discretion,' McMahon wrote. Some of the communities hit hardest by the COVID-19 pandemic and health care infrastructure will lose the most funding, the Michigan Department of Education reports. Flint Community Schools will lose out on about $15.6 million in funding, the most in the state, while the city was one of the hardest hit in Michigan by the COVID-19 pandemic. Flint, where the residents were effectively poisoned by lead contamination in 2014 when the city switched its water supply source, creating years of health issues for the community, had the compounded strain during the COVID-19 pandemic as the city was a hotspot for the spread of the virus and residents were slow to receiving the vaccine. Other school districts slated to lose funding are Benton Harbor Area Schools, which still had about $4.5 million slotted for them, Hamtramck Public Schools at about $7.2 million and Pontiac School District at about $3.3 million. The U.S. Department of Education walking back its commitment to health and safety projects is an affront, State Board of Education President Pamela Pugh said in a statement. Pugh, who served as the Chief Public Health Advisor for the City of Flint during the Flint Water Crisis, says she sees communities who are losing funding and recognizes that they are some of the communities who are in the most need of projects that help keep kids healthy. 'These federally funded projects are important to students and staff in our districts in Michigan and across the country,' Pugh said. 'To cancel funding approval on no notice and to tell districts that they may apply for a second approval from the U.S. Department of Education to access these funds, with different criteria, has nothing to do with service to schoolchildren.' SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
